The Importance of Communication in Business

Communication is essential in every aspect of ­business, and it determines the success of a company. For instance, communication determines whether an organization will miss out or seal a deal. Besides, it is only through effective communication that organization managers can elucidate company policies to both the clients and employees (Six Sigma Online n.p). Equally, through active communication, organization staffs can answer customer queries regarding the services and the products that a company offers. For all these reasons, communication is essential in determining the financial performance of an organization because poor communication might considerably impact business performance and in turn, result in its decline.

Detailed Analysis of why Communication is Important in Business

Excellent business communication is essential in creating a team that will enhance successful operation of an organization. Through effective communication, staff members can efficiently work as a team with the aim of achieving the organizational strategic objectives. Six Sigma Online outlines some of the important reasons why an organization should invest in enhancing the communication skills of their employees. The article argues that great interaction amongst company staffs result in the development of a resourceful team. The leader of this team must effectively communicate with team members to enhance efficient allocation of roles and responsibilities. Effective communication is also necessary to convey to members of the team their expectations and jobs. Therefore, a leader who effectively communicates with members of different departments prevents misunderstandings and motivates each employee to achieve both organizational and individual goals.

Effective communication boosts the quality of services provided by the company. Through effective communication, the relationship between the client and the company improves. As a result of this relationship, customers become loyal to the company and the firm can identify their needs and satisfy them accordingly. Noble communication in business not only builds strong relationship between customers and the organization but also between the top and junior management. The interaction between staff creates an inclusive atmosphere that improves the efficiency and morale of employees (Six Sigma Online n.p). In fact, employees find it somewhat challenging to offer services in a place that they are not valued. It is, therefore, important for businesses to invest in excellent communication to create a positive environment for its workers.

Despite the fact that effective communication yields benefits to a company, some barriers undermine this process. Some of the notable barriers include interpersonal barriers, organizational barriers, individual barriers, technological barriers, physical barriers and cross-cultural barriers (Sehgal and Vandana 93). Barriers such as status relationship, authority, and values held by organizational staff undermine the communication process. Differences in geographical locations, time, and cross-cultural factors also undermine effective communication in business. Advancements in technology have resulted in the generation of lots of information that the recipient cannot handle. For all these reasons, it is important for businesses to address these barriers to boost communication between the sender and the receiver. They also need to understand the importance of perception in communication. The benefits of communication are only realized if the sender and the receiver understand the message. Otherwise, if the message is misinterpreted, it might ruin the reputation and the brand of a company.

In conclusion, communication determines the success or failure of a business. According to research evidence, it is obvious that effective communication is necessary for boosting the financial performance of an organization. Besides, effective communication builds a strong relationship between the customers and the company as well as between the employees and the organization. It is only through effective communication that the company can communicate its policies to both its target market and staff. Equally, it is through excellent communication that workers can explain clearly to customers the products and services offered as well as answer their questions.